Many South Africans are interested in the benefits that debt counselling can offer them, such as lowered monthly instalments, reduced interest rates and legal protection from creditors. While many are signing up for debt counselling and debt review, there are still over 10 million South Africans who are struggling with their debt. One of the reasons why people are not signing up for debt review when they need it, is the fact that they will not be able to get more credit during the process. The benefits of using credit can be addictive, and many feel that without it, their financial situation will worsen.
A credit diet can restore balance to your finances
While credit is certainly useful in many situations, like any habit it can become a crutch when relied on too heavily or too often. Credit can become a problem when people take out too much and start to struggle to afford the monthly repayments. If you feel like this describes your personal financial situation, why not try a credit diet? By cutting out credit or “dieting” your credit spending for a set amount of time, you can give yourself the freedom to focus on paying off your existing debt before adding new debt to the list.
How to go on a credit diet
The easiest way to go on a credit diet is to sign up for debt review with One Debt. We can help you manage your existing debt repayments, prohibit additional credit spending, and provide all the benefits that debt review can offer. This is especially recommended if you struggle with financial responsibility or disciplining yourself when it comes to spending, since we provide the structure and oversight to help you. If you feel that your debt situation does not warrant debt review yet, you can also try a credit diet on your own. The first thing to do is set yourself a limit on how much, if any, credit you will allow yourself to use in a given time frame, and commit to honouring this rule. To find out more about credit diets or debt review, contact One Debt today.